AGC-backed bill would prevent civil and criminal penalties on small construction firms that fail to disclose personally identifiable information to the federal government.

On September 12, AGC joined business group allies in supporting legislation introduced by Financial Services Committee Chairman Patrick McHenry (R-NC) that would delay the implementation, and associated information collection, of the so-called Corporate Transparency Act (CTA).  This poorly designed legislation would require every small business in America with less than 20 employees, and $5 million in revenue to disclose, annually, personally identifiable information—such as a photo of a driver’s license or passport, name(s), address, and other information—of all “beneficial owners” of the business to the Financial Crimes Enforcement Network (FinCEN).

FinCEN has moved forward with a plan to begin collecting this information next year, without completing all of the necessary regulations to fully implement the rule, including a rule to define who can access the dragnet database.  AGC opposed this legislation when it was considered, and filed extensive comments to FinCEN when it proposed rules to implement it.

If you have any questions, please contact Matthew Turkstra at (202) 547-4733, or [email protected]